morning thoughts...

The markets saw pressure close to supports of 10250 on nifty front and tried to hold the crucial levels of 10200 which acts as cushions in the coming sessions , a move and close below it could trigger more sell and shorts on intermediate basis whereas it may try to bounce closer to those levels , on the whole it will be a tussle between the bulls and bears at the crucial levels with a sell on rise closer to resistances

Bank nifty too faces resistances at 24500 and has supports around 24000 levels , the markets may sway and dwindle in the said range with many stocks indicating a breakdown on charts with disperse transmission behavior

With the dollar index IT stocks will continue to outperform with some interest in oil and gas sector

However stocks like hindalco , wockhardth pharma , dish tv , yes bank , ktk bank , adani group stocks are indicating a breakdown and calls for shorts on every rise

Similarly out of money put options in the same would fetch good returns keeping in mind the time and intrinsic value along with premium on pcr charts

On the contrary there are stocks like mind tree , hexaware , igl , coal india are the ones with higher beta and can be added at any lows or panic in futures and out of money call options

The pcr on the derivatives sides inches to 1.19 and volatility in vix and dollar index will keep the markets on toes.

Rangebound trades are expected in bullions , base metals and energy

Stocks to watch

As indicated above in index , futures and options for the said stocks

Nifty likely to trap very soon near to 10200 and trigger sharp movements beyond 500 points in quick time

Out of money options are the most favoured in the scenario

Wild moves in futures are foreseen

Gold and silver will maintain a tight range for many more days

Crude and natural gas remains a buy on all dips

Metals to stay weak in copper and aluminium , small buying may occur in lead , zinc and nikel